Attorney offering to mediate Penn Plaza dispute
A chance conversation with an Allegheny County senior judge has landed a prominent Downtown attorney a new role — mediator in the nasty dispute over the controversial Penn Plaza development in East Liberty.
William Pietragallo, founding partner of Pietragallo Gordon Alfano Bosick & Raspanti, LLP, said he mentioned in passing to Common Pleas Senior Judge Joseph James during a recent lunchtime conversation that he would be “willing to help” with the Penn Plaza battle.
On Wednesday, Judge James took him up on the offer, volunteering Mr. Pietragallo to mediate the legal fight between the city and Pennley Park South over the redevelopment.
The litigants quickly agreed to giveit a try during a status conferencebefore Judge James.
Mr. Pietragallo has offered to dothe work at no charge.
“I’ve made a nice career in this community. Sometimes, if you think you can help out, you put yourhand up,” he said.
The lawyer will be jumping head first into a controversy punctuated by dueling lawsuits. The city has sued Pennley Park, affiliate of developer LG Realty Advisors, claiming it engaged in demolition activity at the site and failed to provide proper heat for residents who had remained there in violation of a 2015 memorandumof understanding.
Pennley Park filed a counterclaimin April, charging that it had sustained more than $10 million in damages after Whole Foods Market, which was to anchor the redevelopment, announced that it was suspending its involvement because of concerns raised by the community and Mayor Bill Peduto,
Theproposed complex — which includes 200 apartments, 12,000 square feet of offices and 582 parking spaces in the first phase — also has become a flashpoint for local activists in their efforts to bring more affordable housing units to East Liberty and the city as a whole.
To accommodate the redevelopment, Pennley Park has relocated more than 200 residents in the Penn Plaza apartment complex. It hasdemolished one building at the site and intends to raze the other. The city offered to buy the apartment complex several times to maintain affordable housing, but wasrebuffed by the developer.
While the apartments in the redevelopment’s first phase are to be market rate, Pennley Park has offered to make 20 percent of the units affordable in the second phase. In addition, it has committed to providing $10 million to the city’s affordable housing trust fundthrough the development.
Against that backdrop, Mr. Pietragallo will try to find a middle ground. He declined to divulge his strategy.
“I think I’m a fairly creative lawyer with a lot of experience in dispute resolution. I don’t normally mediate. I normally litigate. I think I can be helpful. We’ll see,” hesaid.
Lawyers for Pennley Park and the city said they welcomed Mr. Pietra ga ll o’ s involvement.
“I’ve made a nice career in this community. Sometimes, if you think you can help out, you put your hand up.” — William Pietragallo, founding partner of Pietragallo Gordon Alfano Bosick & Raspanti, LLP